Industrial integration structures are planned to be created in the Vitebsk region
The relevance of the event's topic is due to the ongoing changes in the economy, in domestic and foreign markets. This dictates new rules of the game for organizations in the real sector of the economy. And the consolidation of economic activity is necessary, first of all, for effective participation in the competitive struggle.
"HE WHO UNITES WILL WIN"
The Chairman of the Regional Executive Committee, Nikolai Sherstnev, has no doubt about this. During the meeting, using the example of individual enterprises and industries, he substantiated the prerequisites for the need to adopt integration decisions in industry (by analogy with integration structures in agriculture).
In the Vitebsk region, industrial organizations have a significant impact on the development of the entire region. They account for more than 30% of the gross regional product, and about 67% of the revenue from the sale of products (goods, works, services). Therefore, the authorities must create conditions for the most effective operation of industry, which directly affects the quality of budget formation and the development of the social sphere.
In turn, to solve this strategic task, it is necessary to have feedback from the real sector of the economy and create effective schemes for industry coordination. In order to improve the management structure of industrial organizations, the state association "VITEBSKPROM" has been established, but time requires moving forward.
As one of the directions, Nikolay Sherstnev proposed to discuss the possibility of consolidating enterprises by industry, which is especially relevant for mass production, where the economy of scale is realized, and for the production of high-tech products, the development of which requires significant investment in research and development.
– We have not yet reached a specific decision, but it is obvious that large companies need to be created. This opens up new opportunities for lending, technical re-equipment, and improving the quality of management, – explained the head of the region. – There is a serious struggle for markets, and in such conditions, large, strong structures will survive.
There are successful examples of economic consolidation in the Vitebsk region. After joining the woodworking holding, Vitebskdrev OJSC transformed from a depressed organization into a dynamically developing one.
The new director and his team are increasing capacity utilization and production volumes, including through products with high added value, creating jobs, reviving production sites that were considered unpromising, restoring lost positions in foreign markets, and opening new export destinations.
– It is not difficult to state problems, but it is more difficult to find solutions to overcome them; everything depends on the leader, – said Nikolay Sherstnev, noting that today Vitebskdrev is on the right track.
The situation is different in the light industry, which was analyzed using the example of Znamya Industrializatsii OJSC, whose shares were transferred from republican to regional communal property. According to the enterprise director Andrey Shamshura, the industry is experiencing a shortage of personnel, and in the struggle for them, some players do not shy away from any methods.
Competition has also intensified due to the mass opening of second-hand stores, resulting in a flood of substandard products onto the market. Reacting to the threats, the factory is expanding production by opening branches in small towns and intensifying cooperation with basic educational institutions for targeted specialist training. In addition, cooperation with small manufacturers from the region, where the company places orders for garment production, is gaining momentum.
According to the head of the region, the reasons for the enterprise's lack of competitiveness are obvious – high debt burden, enormous infrastructure, and limited mobility. To maintain its market position, Nikolai Sherstnev suggests that the factory, as well as other light industry organizations in the Vitebsk region, should seriously consider developing effective inter-firm interaction schemes, up to the creation of a regional holding structure.
INTEGRATION ROADMAP
According to Oleg Matskevich, First Deputy Chairman of the Regional Executive Committee, the experience of VITEBSKPROM has shown that such associations can realistically survive in conditions of intensifying competition. Therefore, following the discussion, a roadmap for creating integration structures based on industry (light industry, mechanical engineering, machine tool construction, etc.) with the involvement of educational institutions will be finalized for decision-making at the regional executive committee level.
Overall, this will contribute to the successful solution of a complex set of tasks facing the industry. Among the main ones are searching for reserves to produce in-demand, high value-added, competitive products, which, in turn, is impossible without new technologies, modern equipment, highly qualified personnel, cost optimization, and the production of innovative and import-substituting products.
As Oleg Matskevich noted, it is already necessary to seek ways to overcome the problems of incomplete capacity utilization, high wear and tear of the active part of fixed assets, and inefficient use of property. While decisions for republican enterprises have been made at the government level and are included in various programs, all other organizations must earn money for modernization themselves.
In the Vitebsk region, the main source of funds is the investment fund, so it is necessary for everyone to pool funds to replenish it, directing them to projects that are most significant for the region.
In addition, more investment should be made in equipment and technologies, rather than in the construction of walls and buildings. Today, the share of such investments in industry is slightly more than 40% of their total volume.
There are also growth reserves in the creation of new highly efficient industrial enterprises and production facilities that use local raw materials. The focus here is on small and medium-sized businesses, as a number of documents have been adopted in the country to simplify the conditions for doing business.
In 2018, it is planned to create more than 50 industrial enterprises, including over a dozen organizations for the harvesting and processing of wood. This means both ensuring employment and improving people's well-being – the ultimate goal of any economic activity.
The large-scale "planning meeting" of the industrial complex of the Vitebsk region concluded on a positive note.
Nikolai Sherstnev presented honorary diplomas and commemorative prizes to the winners of several industry competitions based on the results of 2017 – "Best Goods of the Republic of Belarus", regional executive committee awards in the field of quality, as well as "Best Manager", "Best Design Engineer", and "Best Scientific Developer", established by the regional employers' association.
